UAE Lender ADCB Reports 11% Jump in Second-Quarter Profit

Abu Dhabi Commercial Bank reported net income of 2.57 billion dirhams ($699.7 million) for the second quarter on Monday, up 10.7% from the prior-year period, beating analyst expectations.

Analysts had expected ADCB's second-quarter profit at 2.33 billion dirhams, according to LSEG data.

The bank reported a net profit of 2.32 billion dirhams in the quarter ended June 30 last year.

ADCB is the third-largest bank by assets in the United Arab Emirates and majority-owned by the government-run Abu Dhabi Investment Council.

"Balance sheet growth remains strong amid healthy consumer and business confidence and ample system liquidity," the bank said in a statement. Key growth areas included energy, trading, financial institutions, transport and communication.

The bank said non-interest income, which jumped 44% in the quarter compared to last year, continued to be a key driver for growth.

Total assets also grew, rising 17% year-on-year to 719 billion dirhams. Net loans grew 14% and deposits increased 19%.

Shares in ADCB are up about 36% year-to-date.